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Major studios sign deals for movie burning

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Old 08-26-2009, 12:33 PM   #1
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Arrow Major studios sign deals for movie burning

DIGITAL: Warner, Paramount, Sony, Lionsgate movies will be available to be copied on DVD, Blu-ray, others

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By Jennifer Netherby -- Video Business, 8/25/2009
AUG. 26 | DIGITAL: Starting today, Warner Bros., Paramount Pictures, Sony Pictures and Lionsgate will begin offering the first movie downloads that can be burned to disc using virtually any DVD or Blu-ray Disc burner for playback on a broad range of devices already in millions of consumer homes.

The four studios will offer the downloads through under-the-radar online movie service Film Fresh, which inked the first U.S. movie delivery deal with Divx, maker of a popular video format supported by millions of DVD players, Blu-ray players, TVs, mobile phones, the PlayStation 3 and other devices from the biggest consumer electronics brands, including LG, Samsung and Sony. The site will relaunch with recent releases Iron Man, My Bloody Valentine and arthouse film The Lives of Others but will soon add new releases.

The studios have been slow to offer DVD burning of movie downloads because of copy protection concerns. Last year, the DVD Copy Control Assn. approved DVD copying using CSS copy protection, the same copy protection used on commercial DVDs. However, it requires consumers to buy new disc drives and new recordable blank discs. Roxio CinemaNow, part of Sonic Solutions, which makes Qflix drives that support DVD burning with CSS, is the only company to offer the downloads with CSS.

Divx has its own built-in copy protection so films can only be played back on certified Divx devices that a consumer registers for their downloads. Film Fresh will allow consumers to make an unlimited number of copies of movies in the Divx format for playback on registered devices.

Divx-format downloads can be burned to DVD or Blu-ray disc or transferred to USB drives from any Mac or PC with Divx software for playback in any Divx-certified device. The company estimates that 200 million Divx devices are already in consumer homes worldwide and most have a Divx logo.

Film Fresh’s ability to offer the first downloads that can be legally burned to disc using standard disc burners could give it an edge over larger competitors in the movie download space. Film Fresh CEO Rick Bolton thinks the Divx ecosystem will allow it to take on Apple, the leader in the movie download space thanks to the iPod.

Digital download sales are growing fast, but business has been held back some by consumers’ limited ability to burn films to disc or easily move them between devices for playback. Currently, Roxio CinemaNow is the only other digital movie company offering major studio movie downloads burnable to disc, but consumers are limited to using a Pioneer or Dell Qflix DVD drive.

Film Fresh will offer all new release films and a selection of catalog films from its studio partners and a number of independent and international companies, Bolton said.

Film Fresh is only selling download-to-own movies and DVDs for now. It does not offer rental downloads.

Bolton said the company would price newer films between $10 and $13. New releases weren’t on the beta site earlier this week, but the site is aggressively pricing recent release films competitive with both iTunes and Amazon.com, the two low-price leaders of digital films. Nick and Nora’s Infinite Playlist was selling for $12.99, while The Curious Case of Benjamin Button was priced as $9.99.

Bolton said Film Fresh also will “do some interesting pricing strategies that will become apparent as the site unfolds.”

Divx and Film Fresh each will run promotional campaigns around the relaunch of the Film Fresh site today. Bolton, a former exec at Razorfish and Disney Online, founded Film Fresh using his own money in 2005. The site has sold independent and foreign downloads and DVDs since then. Bolton more recently brought in former Sony exec Mike Arrieta as his business partner.

Divx content services director John Greene said the company is working with retail partners that sell Divx-certified hardware on promotions tied to Film Fresh.

There’s already demand, he said, from existing customers. Despite having no major movie deals in the U.S. up to now, Divx software, which also can be used by consumers to create and share home videos, has already been downloaded by 400 million people worldwide, Greene said.

“Once people understand what Divx is, the natural next question is, ‘Can I buy a movie in Divx,’” Divx technical architect Eric Grab said. “The answer to that question is now yes.”

Film Fresh will market through film festival partners and other groups and explain to consumers which devices downloads are playable on.

“We’re doing a fair amount of handholding on the site, because a lot of people probably do have Divx-enabled devices and don’t know it,” Bolton said.
http://www.videobusiness.com/article/CA6685873.html
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Old 08-26-2009, 10:31 PM   #2
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It's a step in the right direction, but the DRM will cause it to fail. People savvy enough to burn their own discs are already doing it without any restrictions whatsoever.
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Old 08-27-2009, 05:51 AM   #3
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How do they prevent pirating? If they allow you to download and burn a new release to "a" disc, what is to stop someone (aside from their conscience) from burning "many" discs, and then selling/distributing them?

Seems to be going in the opposite direction of their current DRM efforts on BD, which doesn't make any sense.
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Old 08-27-2009, 06:09 AM   #4
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How do the prevent pirating? If they allow you to download and burn a new release to "a" disc, what is to stop someone (aside from their conscience) from burning to "many" discs, and then selling/distributing them?
Well..., there is the fact that it's illegal. There is also the fact that it goes on anyway, and in mass quantities.

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Seems to going in the opposite direction of their current DRM efforts on BD, which doesn't make any sense.
Seems to me the studios are perhaps getting the idea that since everybody is doing it anyway, maybe they should be the ones to make the most money out of it, the theory being: If it's convenient and easy for people to purchase it, they'll purchase it rather than buy it illicitly. Then the companies can spend less (well, nothing really) on DRM, and spend more on law enforcement and artistic production.

Let's face it, DRM is barely a bump in the road for those who are determined to make copies of movies and sell them, a pain in the ass for those who wish to make personal copy for their own use, and completely irrelevant for those of us who have no interest in making any copies and just want to watch the studio produced copy of movie we just legally purchased. So where's the market for DRM? The matter has been decided for music. People in hell are wearing their winter clothes as even Sony sells its music catalog on .mp3 now. Video is headed the same way....
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Old 08-27-2009, 06:37 AM   #5
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Just a reminder, you must purchase new equipment (burner) and special media as well as software (some of the worst available) in order to do this in the first place. I don't see where many will invest their time and money into this scheme/scam of Hollywood...
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Old 08-27-2009, 06:48 AM   #6
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The biggest problem I see is that they are charging $10-12 to download movies that are probably available for $5 on DVD.
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Old 08-27-2009, 07:28 AM   #7
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I don't see this changing the way most people buying DVDs/blu-rays presently. I see this as an attempt for the studios to gain some dollars on the consumers that want to be on the legal side of a pirating scheme. If the studios can get a small percentage of the illegal piraters on board with this program, then they can at least make some revenue back.
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Old 08-27-2009, 07:29 AM   #8
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Well..., there is the fact that it's illegal.
Thank you Captain Obvious.

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Originally Posted by ouflak View Post
There is also the fact that it goes on anyway, and in mass quantities.
And your point is?

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Originally Posted by ouflak View Post
Seems to me the studios are perhaps getting the idea that since everybody is doing it anyway, maybe they should be the ones to make the most money out of it, the theory being: If it's convenient and easy for people to purchase it, they'll purchase it rather than buy it illicitly. Then the companies can spend less (well, nothing really) on DRM, and spend more on law enforcement and artistic production.
Not for $12 a download. They would just as soon buy it for the same price, and maybe cheaper, from Amazon or their local B&M store, or blockbuster and Netflix, than to have to take the time to make their own copy.

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Let's face it, DRM is .....completely irrelevant for those of us who have no interest in making any copies and just want to watch the studio produced copy of movie we just legally purchased.
I disagree. DRM is a pain in the @ss for the average blu ray consumer. I suspect that it is a major contributer to necessitating frequent firmware updates, and as such, could slow BD adoption.
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Old 08-27-2009, 07:33 AM   #9
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The biggest problem I see is that they are charging $10-12 to download movies that are probably available for $5 on DVD.
That too is a factor...
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Old 08-27-2009, 07:33 AM   #10
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I believe a lot of the pirating is via bit torrents, where they download movies currently playing in theatres, not new store releases. They could just as easy rent a new rental release from Netflix or Blockbuster for rental fee of less than $4, and make copies from those, rather than spend $12 to download and burn copies.
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Old 08-27-2009, 07:42 AM   #11
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I believe a lot of the pirating is via bit torrents, where they download movies currently playing in theatres, not new store releases. They could just as easy rent a new rental release from Netflix or Blockbuster for rental fee of less than $4, and make copies from those, rather than spend $12 to download and burn copies.
Of course this could be fixed if the studios would release rentals the same day or week as the theatrical release.
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Old 08-27-2009, 07:47 AM   #12
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Of course this could be fixed if the studios would release rentals the same day or week as the theatrical release.
Agreed, but that would never happen. They'd lose too much money.

What is the average audience for a home rental? Two, three, four? So that means that if they released it on DVD at the same time they show it in the theatres, that for every rental, they would lose one, two, three or more paying customers who normally would go the the theatres to see the movie.
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Old 08-27-2009, 09:34 AM   #13
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Agreed, but that would never happen. They'd lose too much money.

What is the average audience for a home rental? Two, three, four? So that means that if they released it on DVD at the same time they show it in the theatres, that for every rental, they would lose one, two, three or more paying customers who normally would go the the theatres to see the movie.
I agree, which is why they will never release it the same day as the theater release. This is the same concept they wanted to use on Redbox for rentals.

Also, good point about the $10 rate for burning a movie.
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Old 08-27-2009, 10:59 AM   #14
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Agreed, but that would never happen. They'd lose too much money.

What is the average audience for a home rental? Two, three, four? So that means that if they released it on DVD at the same time they show it in the theatres, that for every rental, they would lose one, two, three or more paying customers who normally would go the the theatres to see the movie.
I'm gonna blow your mind.

Theater patrons and video renters are two different markets.

People who go to theaters will go anyway no matter what movie is playing. The movie is just the good excuse. They go for the night out. They're mostly kids who would rather be anywhere but home.

Renters are old farts who can't deal with all the obnoxious kids.
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Old 08-27-2009, 12:09 PM   #15
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I'm gonna blow your mind.

Theater patrons and video renters are two different markets.

People who go to theaters will go anyway no matter what movie is playing. The movie is just the good excuse. They go for the night out. They're mostly kids who would rather be anywhere but home.

Renters are old farts who can't deal with all the obnoxious kids.

Then there are the old farts that don't want to wait to see a particular movie so they will occasionally deal with the obnoxious kids but would stay home if the movie were available to rent or buy.

I stand accused.

Last edited by dangerdoc; 08-27-2009 at 03:32 PM.
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